INDIA ORGANIC FOOD MARKET 2026

FY2016 –FY2026 INDIA ORGANIC FOOD MARKET FORECAST AND OPPORTUNITIES Published: February 2021 www.techsciresearch.com MARKET INTELLIGENCE . CONSULTING

Scope of Report Product of Interest (POI): Organic Food India organic food market is expected to grow at a double digit CAGR until 2026, on account of favorable government policies supporting organic farming coupled with increasing land area under organic cultivation. Online availability of organic food products and shifting consumer preferences towards healthier food options are major factors boosting demand for organic food products in India. Market Segmentation PRODUCT TYPE REGION Year Range • Organic Beverages • North • Organic Cereal and Food • South Review Period Grains • East FY2016 – FY2019 • Organic Meat, Poultry and • West Dairy Base Year • Organic Spices and Pulses • Organic Processed Food DISTRIBUTION CHANNEL FY2020 • Organic Fruits and • Modern Retail Channel Estimated Year Vegetables • Traditional Retail • Other Organic Food Channel FY2021 Products • E-Commerce Forecast Period • Institutional/Direct Sales FY2022 – FY2026 2

Scope of Report Product of Interest (POI): Organic Food Organic Food Products Segmentation Fruits & Vegetables - All Segments Organic Food Products Meat, Poultry & Dairy Products - Adults & Infants Organic food products are grown without the use of pesticides, synthetic Processed Food - fertilizers, sewage sludge and GMOs. Youth Environment friendly methods are used to produce them. Bread & Bakery - All Segments Beverages - All Segments Organic Organic Organic Organic Organic Other Meat, Fruits & Processed Bread & Beverages Organic Poultry and Vegetables Food Bakery Food Dairy Products Products Products 3

Table of Contents S. No. Contents 1. Product Overview: Organic Food 2. Research Methodology 3. Impact of COVID-19 on India Organic Food Market 4. Executive Summary 5. Voice of Customer 6. India Organic Food Market Outlook 6.1. Market Size & Forecast 6.1.1. By Value 6.2. Market Share & Forecast 6.2.1. By Product Type (Organic Beverages, Organic Cereal and Food Grains, Organic Meat, Poultry & Dairy, Organic Spices & Pulses, Organic Processed Food, Organic Fruits and Vegetables and Other Organic Food Products) 6.2.2. By Distribution Channel (Modern Retail Channel, Traditional Retail Channel, E-commerce, Institutional/Direct Sales) 6.2.3. By Company 6.2.4. By Region 6.3. Product Market Map, By Product Type 7. India Organic Fruits and Vegetables Market Outlook 7.1. Market Size & Forecast 7.1.1. By Value 7.2. Market Share & Forecast 7.2.1. By Distribution Channel 7.3. Pricing Analysis 8. India Organic Spices and Pulses Market Outlook 8.1. Market Size & Forecast 8.1.1. By Value 8.2. Market Share & Forecast 8.2.1. By Distribution Channel 8.3. Pricing Analysis 4

Table of Contents S. No. Contents 9. India Organic Cereal and Food Grains Market Outlook 9.1. Market Size & Forecast 9.1.1. By Value 9.2. Market Share & Forecast 9.2.1. By Distribution Channel 9.3. Pricing Analysis 10. India Organic Beverages Market Outlook 10.1. Market Size & Forecast 10.1.1. By Value 10.2. Market Share & Forecast 10.2.1. By Distribution Channel 10.3. Pricing Analysis 11. India Organic Processed Food Market Outlook 11.1. Market Size & Forecast 11.1.1. By Value 11.2. Market Share & Forecast 11.2.1. By Distribution Channel 11.3. Pricing Analysis 12. India Organic Meat, Poultry and Dairy Market Outlook 12.1. Market Size & Forecast 12.1.1. By Value 12.2. Market Share & Forecast 12.2.1. By Distribution Channel 12.3. Pricing Analysis 5

Table of Contents S. No. Contents 13. India Other Organic Food Market Outlook 13.1. Market Size & Forecast 13.1.1. By Value 13.2. Pricing Analysis 14. Market Dynamics 14.1. Drivers 14.2. Challenges 15. Market Trends and Developments 16. Policy and Regulatory Landscape 17. India Economic Profile 18. Competitive Landscape 18.1. Suminter India Organics Private Limited 18.2. Nature Bio-Foods Limited 18.3. Organic India Private Limited 18.4. Sresta Natural Bioproducts Pvt. Ltd. 18.5. Phalada Agro Research Foundations Pvt. Ltd. 18.6. Mehrotra Consumer Products Pvt. Ltd. 18.7. Morarka Organic Foods Pvt., Ltd. 18.8. Nature Pearls Pvt Ltd 18.9. Conscious Food Private Limited 18.10. Nourish Organics Foods Pvt. Ltd. 19. Strategic Recommendations 20. About Us & Disclaimer 6

RESEARCH METHODOLOGY © TechSci Research 7

Research Methodology Market Formulating Developing List Data Data Data Profiling Questionnaire of Respondents Collection Validation Analysis In-depth secondary In order to List of industry TechSci conducted Dataobtained as The data was research was conduct industry players and interviews with a result of scrutinized using MS- conducted to experts’ interviews, industry industry experts primary and Excel, statistical tools determine top players TechSci specialists was and industry secondary and internal in the India organic formulated a developed. players for data research was proprietary database food market, overall detailed collection and validated to obtain qualitative market size and discussion guide. verification. through rigorous and quantitative segmental market triangulation. insights about the size. India organic food market. Primary Research Desk Research Company Analysis ✓ Identifying Key Opinion ✓ Recent Developments ✓ Market Participants Data Data Filter Research & Actionable Business ✓ Market Changing ✓ Key Strengths Collection & Analysis Intelligence Insights Solution Leaders Aspects/Dynamics ✓ Questionnaire Design ✓ Government Policies ✓ In-depth Interviews ✓ Conclusion Primary Research Secondary Paid Sources Research ✓ LinkedIn ✓ Company Websites ✓ Factiva ✓ TechSci Internal ✓ Company Annual ✓ Hoovers Database Reports ✓ White Paper Study ✓ Financial Reports ✓ Investor Presentations ✓ Regulatory Body ✓ Associations, etc. 8

Research Methodology Baseline Methodology Our dedicated team of industry experts has monitored and analyzed various aspects of India organic food market. The team has analyzed the outlook of various segments of this market, while considering the major influencing factors such as favorable government policies supporting organic farming coupled with increasing land area under organic cultivation. The study includes market forecasting, which would enable our clients to take better decisions while planning their strategy to achieve sustainability in India organic food market. Methodology Followed forCalculation of Market Size: • Market Size By Value : Market size, in terms of value & volume, for the year FY2020 was calculated based on information collected through exhaustive secondary research and primary surveys, with various key opinion leaders/stakeholders, such as organic food manufacturers, suppliers, channel partners, end users, industry experts and other industry participants. • Theteaminterviewedmorethan30organicfoodmanufacturers&suppliers,180–200endusers,and15–20industryexpertsandothervalue chain stakeholders in the India organic food market to obtain the overall market size from FY2016 to FY2020. Taking standard deviation into consideration, the market size was averaged out, to arrive at the market size data during FY2016-FY2020. • Respondents were asked about the current and future market growth rates, market shares by product type, by distribution channel, by region andbycompany.Removingtheoutlierresponses,thegeometric meanofgrowthestimatesandsupplierwiserevenue sharesgeneratedacross various segments were considered, to arrive at the final revenue shares. Revenue shares generated across various segments were further triangulated from other stakeholders. 9

Research Methodology Methodology Followed forCalculation of Market Shares: • Market shares by product type, by distribution channel, by region and by company were calculated based on the responses received through primary surveys with industry experts, in which the respondents were asked about the market shares or revenue generated from various segments of organic food market. The final shares were calculated by taking the geometric mean of the responses gathered from keyopinionleadersafter eliminating the outliers. Methodology Followed forForecasting: • TechSci Research performed periodical checks on data collected through the surveys with logic checks and analyzed the survey results in SPSS/TableauSoftware. • Data triangulation techniques were applied to fill the gaps and to present a more meaningful picture of the market. To forecast India organic foodmarket, TechSciResearchusedvariousforecasttechniquessuchas: ✓ Moving Average ✓ Time Series Analysis ✓ Regression Analysis ✓ Econometric and Judgmental Analysis 10

Research Methodology TechSci Research used its own forecast tool, which is based on the growth of various allied industries in respective regions. TechSci Research also used the impact analysis during short, medium and long term period to estimate the demand and to reach accurate market numbers. It shouldbenotedthatthefigures compiledareonlyfor the organized marketincluding market sharedata. Partial List of Companies Interviewed Key Secondary Sources ▪ ElWorldAgro& Organic Foods Pvt. Ltd. ▪ The Agricultural and Processed Food Products Export ▪ SuminterIndia Organics Private Limited Development Authority (APEDA) ▪ Nature Bio-Foods Limited ▪ World Bank ▪ Organic India Private Limited ▪ TechSciResearch Proprietary Database & Knowledge ▪ Sresta Natural Bioproducts Pvt. Ltd. Repository ▪ PhaladaAgroResearch Foundations Pvt. Ltd. ▪ Company Annual Reports ▪ Mehrotra Consumer Products Pvt. Ltd. ▪ Industry Magazines ▪ MorarkaOrganic Foods Pvt., Ltd. ▪ Industry Reports ▪ Nature Pearls Pvt Ltd ▪ News Dailies ▪ Conscious Food Private Limited ▪ Credible Paid Databases ▪ Nourish Organics Foods Pvt Ltd. 11

Industry Brief According to a report released by TechSci Research, ‘India Organic Food Market By Product Type (Organic Fruits and Vegetables, Organic Beverages, Organic Cereal & Food Grains, Organic Meat, Poultry & Dairy, Organic Spices & Pulses, Organic Processed Food & Other Organic Food Products), By Distribution Channel (Modern Retail Channel, Traditional Retail Channel, E-commerce, & Institutional/Direct Sales), By Region, Competition Forecast & Opportunities, FY2026’, the organic food market in India was valued at USD177.14 million in FY2020 and is projected to advance with a CAGR of 21.00% in the forecast period to reach USD553.87 million in FY2026. Due to increasing use of synthetic chemical fertilizers and pesticides in non- organic products that lead to various health issues such as cancer, obesity and birth defects, consumers are opting for organic food products, on account of growing health consciousness. Moreover, the government is making efforts to increase the adoption of organic food, by the way of launching various policies and expanding land area under organic cultivation over the next five years. Moreover, the market is anticipated to witness tremendous growth due to growing consumer consciousness towards healthy and natural food products coupled with rising availability of a variety of organic food products to choose from through retail as well as online channels. Moreover, the market for organic food products in India is highly unorganized. With rising cases of food adulteration across the country, the demand for organic food products has gone up significantly. Growing number of upper middle- class people are becoming increasingly concerned about the food quality and are willing to pay a premium of 10-20% for organic food products. Suminter India Organics Private Limited, Nature Bio-Foods Limited, Organic India Private Limited, Sresta Natural Bioproducts Pvt. Ltd., Phalada Agro Research Foundations Pvt. Ltd., Mehrotra Consumer Products Pvt. Ltd., Morarka Organic Foods Pvt., Ltd., Nature Pearls Pvt Ltd., Conscious Food Private Limited, and Nourish Organics Foods Pvt. Ltd. are some of the major players operating in India organic food market. With cancer and even birth defects being linked to the consumption of food containing residues of chemicals (Fertilizers, Pesticides, Fungicides, Weedicides, etc.), consumer inclination towards organic food products is on the rise. In a survey conducted by TechSci Research, growing health awareness among consumers about the harmful effects of these chemicals is among the most important factors driving the India organic food market. Increasing willingness to spend more on healthier food products, rising consumer awareness and inclination, especially of the youth, towards organic food and expanding urban population are anticipated to drive the demand for organic food products in India through FY2026. In FY2020, western and southern regions were the leading demand generating regions in India organic food market. Also, these regions are expected to experience huge demand for organic food throughout the forecast period, owing to rising population, changing lifestyles and increasing adoption of organic food by consumersofall age groups. India is a country with high agricultural biodiversity and favorable agro-climatic conditions, which are conducive for organic agriculture. A number of farmers are adopting organic agricultural practices in order to get better monetary yields from their output. Moreover, Indian organic food manufacturers have been focusing on improving the quality of organic food over the last few years which is anticipated to strengthen consumers’ trust in organic food products in the country. In addition, the leading players in the market are also using various media platforms to popularize organic food products in the country and this is anticipated to propel the demand for organic food products in the coming years. “Rising awareness about health benefits associated with organic food products, increasing average household annual spending on food & beverages, rapid urbanization and greater accessibility of these products are anticipated to fuel the sales of organic food products across India in the coming years. Changing consumer preferences, improving supply chain network and implementation of initiatives to encourage farmers to switch to organic farming, which would also contribute towards the growth of the country’s organic food market over the coming years.”, said Mr. Karan Chechi, Research Director with TechSci Research, a research based global management consulting firm. 12

Sample Data India Organic Food Market Size, By Value (USD Million), FY'2016-FY'2026F CAGR (FY’2016-FY’2020) CAGR (FY’2021E-FY’2026F) By Value: xx% By Value: xx% FY'2016 FY'2017 FY'2018 FY'2019 FY'2020 FY'2021E FY'2022F FY'2023F FY'2024F FY'2025F FY'2026F India Organic Spices & Pulses Market Share, By Distribution Channel, By Value, FY'2016-FY'2026F FY'2016 FY'2017 FY'2018 FY'2019 FY'2020 FY'2021EFY'2022FFY'2023FFY'2024FFY'2025FFY'2026F Modern Retail Channel 10% 10% 10% 10% 10% 10% 10% 10% 10% 10% 10% E-commerce 30.00% 30.00% 30.00% 30.00% 30.00% 30.00% 30.00% 30.00% 30.00% 30.00% 30.00% Traditional Retail Channel 20.00% 20.00% 20.00% 20.00% 20.00% 20.00% 20.00% 20.00% 20.00% 20.00% 20.00% Institutional/Direct Sales 40.00% 40.00% 40.00% 40.00% 40.00% 40.00% 40.00% 40.00% 40.00% 40.00% 40.00% India Organic Meat, Poultry & Dairy Market Size, By Value (USD Million), FY'2016-FY'2026F CAGR (FY’2016-FY’2020) CAGR (FY’2021E-FY’2026F) By Value: xx% By Value: xx% FY'2016 FY'2017 FY'2018 FY'2019 FY'2020 FY'2021E FY'2022F FY'2023F FY'2024F FY'2025F FY'2026F 13

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